Raising revenue key for emerging markets, says Moody’s

“EM sovereigns are expected to suffer long-lasting revenue losses due to the pandemic, with governments’ ability to implement and enforce effective revenue-raising measures set to be a key credit driver over the coming years, ” Moody's said. (File pic shows Moody's logo at the HQ in New York. - Reuters)

KUALA LUMPUR: The ability of emerging market (EM) governments to implement and enforce effective revenue-raising measures in response to the Covid-19 crisis will be an important credit driver over the next few years.

This is because of their sizeable spending pressures and the subdued recovery in the global economy, Moody’s Investors Service said in a report.